Deck 16: The Writing Requirement and Electronic Records

Question 1

Under the Statute of Frauds, all contracts must be in writ?ing to be enforceable.

Answer 1

False

Question 2

A primary obligation is a promise to pay another's debt only if that party fails to pay.

Answer 2

False

Question 3

Oral evidence of otherwise clear terms in a contract can be introduced at a trial to contradict those terms.

Answer 3

False

Question 4

A contract that can, by its own terms, be performed within one year from the day after the contract is formed must be in writing to be enforceable under the Statute of Frauds.

Question 5

A collateral promise is one made by a third party to assume the debts or obligations of a primary party to a contract if that party does not perform.

Question 6

An integrated contract is the complete and final statement of the terms of the agreement.

Question 7

A contract for a sale of goods priced at $501 must be in writing to be enforceable.

Question 8

To be enforceable as a contract, a writing must have been signed by the party who seeks to enforce it.

Question 9

The Convention on Contracts for the International Sale of Goods incorporates the UCC's Statute of Frauds provision.

Question 10

Every state has a statute that stipulates what types of contracts must be in writing.

Question 11

Any collateral promise falls outside the Statute of Frauds and does not need to be in writing to be enforceable.

Question 12

When one creditor guarantees a debtor's debt to another creditor to forestall litigation, the guaranty does not need to be in writing to be enforceable.

Question 13

The writing requirement under the Statute of Frauds means that an agreement must be a formal written contract.

Question 14

Unless a party against whom enforcement of an oral contract is sought admits under oath that a contract for sale was made, the contract will not be enforceable.

Question 15

A prenuptial agreement must be in writing to be enforceable under the Statute of Frauds.

Question 16

A contract that cannot, by its own terms, be performed within one year from the day after the contract is formed does not need to be in writing to be enforceable under the Statute of Frauds.

Question 17

Oral evidence of the modification of a contract after its making can be introduced at a trial.

Question 18

To be enforceable, a memorandum evidencing an oral contract that would otherwise be unenforceable must include all essential and non-essential terms.

Question 19

The Statute of Frauds operates as a defense to the enforcement of an oral contract for the sale of land.

Question 20

An agreement that includes an option to purchase real property must be in writing for the option to be enforced.

Question 21

Colette and Dealership Auto Sales Company enter into an oral contract under which Dealership Auto agrees to pro?vide Colette with lifetime employment. This con?tract may be enforceable by

A) Colette only.
B) Dealership Auto only.
C) any interested third party, such as a Dealership Auto customer.
D) either Colette or Dealership Auto.

Question 22

Fact Pattern 16-B1 (Questions B18-B19 apply)
Alain and Brie sign a contract for the sale of Alain's Coffee Café to Brie. The parties intend their written contract to be a final statement of most, but not all, of the terms of their agreement-Alain must first buy the building from Developed Commercial Properties, Inc., after which Alain and Brie will negotiate a price.
Refer to Fact Pattern 16-B1. Brie later disputes some of the provisions of the deal with Alain. If the dispute results in litigation, a court will most likely admit evidence of additional terms that are

A) ambiguous.
B) consistent.
C) contradictory.
D) clear.

Question 23

Best Silo Storage applies for a business loan from County Credit Union. To help Best Silo get the loan so that it will be able to stay in business and fulfill a deal it has made with her, Dakota promises the credit union's loan officer that she will repay the loan if Best Silo does not. To be enforceable, Dakota's promise

A) need not be in writing.
B) must be in writing because it benefits Best Silo.
C) must be in writing because the credit union is not a party to the other deal.
D) must be in writing because it benefits Dakota.

Question 24

Hal's True Hardware Stores and Ideal Tools, Inc., sign a written con?tract for a sale of goods. To be enforceable, this written contract must include

A) a correct title, such as "Purchase Order" or "Sales Invoice."
B) a date, such as "October 2014" or "10/2014."
C) a quantity term, such as "50 hammers" or "100 boxes of assorted nails."
D) the parties' contact information.

Question 25

Grain Farms, LLC, and Harvest-to-Market Truck & Transport Company sign a writ?ten con?tract that does not involve a sale of goods. To be enforceable, the writing must include

A) a correct title, such as "Shipment Contract."
B) all essential and nonessential terms.
C) a statement of the consideration.
D) a description of the parties' businesses.

Question 26

Benito orally promises Carolina that he will buy her modified 1968 Dodge Charger. For this promise to be enforceable under the doctrine of promissory estoppel,

A) the Charger must be considered a customized good.
B) Carolina must act in reliance on Benito's promise to her detriment.
C) Benito's promise must have been overheard by a third party.
D) there must be written evidence of the deal.

Question 27

Whitewater Canyon Adventures, Inc., and Xtra Overstock Company enter into an oral contract for Xtra's sale to Whitewater of five rafts for $2,000 each. Before Whitewater takes posses?sion of the rafts, this contract is enforceable by

A) Xtra only.
B) Whitewater only.
C) any interested third party, such as a Whitewater tour guide.
D) none of the choices.

Question 28

Sonya and Taylor enter into an oral contract that is required to be in writing to be enforceable. Such a contract is normally

A) voidable by a party who does not wish to follow through with it.
B) void.
C) valid.
D) voidable but only by consent of both parties.

Question 29

Lucas orally agrees to sell his Mountain Spring Beverage Company to Natural Soft Drinks, Inc. Lucas notes the terms on a sheet of Mountain Spring stationery and signs it. This agreement is most likely enforceable against

A) no one.
B) Lucas and Natural Soft Drinks.
C) Lucas.
D) Natural Soft Drinks.

Question 30

Eleanora offers Flossy the amount of an investment in Flossy's start-up business venture if she marries Eleanora's son Glenn. This promise is enforceable

A) only if it is in writing.
B) only if the amount of the investment is more than $500.
C) only if Glenn agrees to marry Flossy.
D) under no circumstances.

Question 31

Fact Pattern 16-B1 (Questions B18-B19 apply)
Alain and Brie sign a contract for the sale of Alain's Coffee Café to Brie. The parties intend their written contract to be a final statement of most, but not all, of the terms of their agreement-Alain must first buy the building from Developed Commercial Properties, Inc., after which Alain and Brie will negotiate a price.
Refer to Fact Pattern 16-B1. The writing that Alain and Brie signed is

A) a completely integrated contract.
B) a conditionally integrated contract.
C) a partially integrated contract.
D) a supplemental integrated contract.

Question 32

Quest Holdings, Inc., orally contracts for a lease of its facilities to Ray to use for his Swamp & Bayou Fishing Camp. Ray pays part of the rent, takes possession, and improves the property for use by his enterprise. The contract is most likely enforceable by

A) Quest Holdings and Ray.
B) Quest Holdings but not Ray.
C) any interested third party, such as a Swamp & Bayou client.
D) no one.

Question 33

Commercial Decor, Inc., files a suit against Discount Mart Corporation, asking the court to enforce an oral contract between the parties under the doctrine of promissory estoppel. This doctrine applies in

A) all states.
B) no states.
C) one state.
D) some states.

Question 34

Guardian Security, Inc., and Hedge Fund Corporation enter into an oral contract under which Guardian Security agrees to provide security services for Hedge Fund offices for as long as Hedge Fund needs them. This contract may be enforce?able by

A) Guardian Security only.
B) Hedge Fund only.
C) any interested third party, such as a Hedge Fund shareholder.
D) either Guardian Security or Hedge Fund.

Question 35

Larue buys an iPod for $150 and a new laptop for $1,200, and signs a one-year employment contract for a $4,800 monthly salary to start at the beginning of the next month. The Statute of Frauds covers

A) the employment contract, and the laptop and iPod purchases.
B) the employment contract and the laptop purchase only.
C) the employment contract only.
D) the laptop and iPod purchases only.

Question 36

Abner tells a representative of Brass & Woodwind Musical Instruments, Inc., that he will pay for Claudia's trumpet if she does not. Abner does not secure any personal benefit for this promise. Abner's oral promise is enforceable as a contract by

A) Brass & Woodwind Musical Instruments, Inc.
B) Claudia.
C) Abner.
D) none of the choices.

Question 37

The owners of Ngai Rice Valley Farms, Inc., and Ozuru Markets, Ltd., are citizens of countries that had ratified the Convention on Contracts for the International Sale of Goods. They enter into a contract for a sale of rice. To be enforceable, this contract

A) need not be in writing.
B) may be oral or written, but has certain requirements as to form.
C) must be in writing.
D) must comply with the UCC's Statute of Frauds provisions.

Question 38

Dinner Theater files a suit against Entertainers Agency, Inc., to enforce a con?tract. The only written evidence of the contract is a memo on Entertainers's let?terhead signed by Fiorello, a company officer. The con?tract can be en?forced if the memo includes

A) a correct title, such as "Dinner Theater-Entertainers Artist Contract."
B) Fiorello's title.
C) all essential terms.
D) a reference to the source of the funds to be paid.

Question 39

Sea Harvest Fish Company and Temp Refrigerated Storage Company enter into a long-term lease for a warehouse. To be enforceable, the lease must be in writ?ing

A) only if the amount of the rent to be paid is less than $500.
B) only if the amount of the rent to be paid is more than $500.
C) only if the amount of the rent to be paid is more than $5,000.
D) if the amount of the rent to be paid is any amount.

Question 40

Physicians Clinic orders by phone seven boxes of single-use latex gloves from Quality Medical Supplies, Inc. After three boxes are delivered and accepted, Physicians Clinic repudiates the contract. Quality Medical can enforce the contract to

A) any extent because the order was placed orally.
B) no extent because the order was placed orally.
C) the extent of the three accepted boxes.
D) the extent of the four undelivered boxes.

Question 41

Raconteur Data Analysis Corporation in Seattle, Washington, offers a job to Trista, who lives in Utah. Trista orally agrees to work for Raconteur for two years. She moves her family to Seattle and begins work. Three months later, she is fired for no stated cause. She files a suit against Raconteur for rein?statement or pay. Raconteur pleads the lack of a written con?tract. In whose favor is the court likely to rule, and why?

Question 42

In a transaction for the sale of an auto painting facility, Bright Auto Colors Company tells Custom Cars Corporation that the paints and other supplies on-site are in?cluded. The contract says nothing about the supplies on-site, but does state, "This document supersedes all oral promises relating to the sale." Are the supplies part of the sale? Why or why not?